M3 Technology Inc.
2026 Annual Shareholders’ Meeting Minutes

Time: A.M. 9:00 a.m. on Friday, May 22, 2026

Place: 1F., No. 399, Ruiguang Rd., Neihu Dist., Taipei City (Liberty Square Convention Center)

Meeting Type: Physical Shareholders’ Meeting

The Number of Shares of Attendance: Attending shareholders and proxy represented 25,434,686 shares accounting for 58.54% of 43,442,593 shares, the Company’s total outstanding shares.

Directors present: AP Memory Technology Corporation (Representative: Yu-Hsin Lin); Zhi-Feng Jiang (Independent Director, Chairperson of Audit Committee). A total of two directors attended the meeting in person.

Attendees: Raymond Wu (President); Chia-Hsin Lin (financial and accounting officer); Chih-Feng Yu (CPA); and Wei-li Liu (Attorney)

Chairman: AP Memory Technology Corporation (Representative: Yu-Hsin Lin), the Chairman of the Board of Directors

Recorder: Yu-Tien Chang

Call the meeting to order:

The aggregate shareholding of the shareholders present constituted a quorum. The Chairman called the meeting to order.

Open Speech by the Chairman: (Omitted)
Report Matters

Proposal 1: To Report the Business of 2025.

Explanation: The Company’s 2025 Business Report is attached herein (Please refer to the attachment in this Handbook).

Proposal 2: The 2025 Audit Committee’s Review Report.

Explanation: Audit Committee’s Review Report on 2025 Financial Statements is attached herein (Please refer to the attachment in this Handbook).

Proposal 3: To Report 2026 Employees and Directors Remuneration.

Explanation: 1. In accordance with Article 25 of the Articles of Incorporation, the Company shall allocate no less than 1% of the net profit before tax, before deducting employees' remuneration and directors' remuneration, as remuneration to employees. Considering capital structure, shareholder interests, and the Articles of Incorporation, it is proposed that

remuneration of employees in the amount of NT$2,031,341 be distributed from the 2025 earnings as the basis for recognition of estimated employees' remuneration expense for the year. The remuneration is proposed to be paid entirely in cash, representing 1% of the profit before income tax prior to deducting employees' remuneration and directors' remuneration. Of the employee remuneration amount, NT$102,450 was allocated to non-executive employees, representing 5.04% of the total employee remuneration appropriation, in compliance with the Articles of Incorporation.

According to the same regulation, up to 2% of the company's surplus must be allocated as director's remuneration. Considering capital structure, shareholder interests, and the Articles of Incorporation, the company distributes remuneration of directors in the amount of NT$2,031,340 from the 2025 earnings as director's remuneration expense. The remuneration of directors in 2025 is distributed in cash. This amount represents 1% of net income before tax and before deducting employees and directors' remuneration, in compliance with company regulations.
There is no difference between the above allocation and the estimated remuneration expense for employees and directors in 2025.

Proposal 4: To Report 2025 Earnings Distribution.

Explanation: 1. At the beginning of the 2025 fiscal year, the company's undistributed retained earnings in the previous year is NT$407,522,835, plus the 2025 net income after tax of the Company is NT$157,241,504, the provision of legal reserve by law is NT$15,724,150, along with NT$178,414 recovered from share-based compensation, so the total distributable earnings for the current period amount to NT$549,218,603.

The cash dividends total NT$108,507,483 through a board resolution on February 25, 2026. Based on the total outstanding shares of 43,402,993 as of December 31, 2025, this equates to a cash dividend of NT$2.5 per share will be distributed. The actual dividend per share will be calculated based on the total number of issued and outstanding shares on the ex-dividend date.
Distribute cash according to the proportion of shares held by shareholders recorded on the shareholders list as of ex-dividend date. Cash dividends distributed to each shareholder will be rounded down to the nearest dollar (if it is less than NT$1, round it off). The total amount under NT$1 due to the rounding off will be recognized as the Company's other income.
Upon the approval of the annual shareholders' meeting, it is proposed that the chairman be authorized to resolve the ex-dividend date, ex-rights date and other relevant issues. Also, if there is a subsequent change in the number of outstanding shares of the Company due to the issuance of new shares, stock buyback, or the exercise of the employee stock option, the chairman is delegated to decide any matters in terms of
2 -

the change of record date and payout ratio.

Proposal 5: To Report the Details and Amounts of the Remuneration Received by Individual Directors.

Explanation: The board of directors' compensation allocation for 2025 is attached herein (Please refer to the attachment in this Handbook).

Proposal 6: To Report the Transactions with Related Parties in 2025.

Explanation: The transactions with related parties in 2025 are attached herein (Please refer to the attachment in this Handbook).

4 - Acknowledged Matters

To Acknowledge 2025 Business Report, Parent Company Only Financial Statements, Consolidated Financial Statements and Earnings Distribution Table. (Proposed by the Board of Directors)

Explanation: 1. The Company's 2025 parent company only financial statements and consolidated financial statements have been audited by CPA Chih-Feng Yu and CPA Pi-Yu Chuang of Deloitte Taiwan. The above-mentioned financial statements along with the 2025 business report and earnings distribution table were approved by the Board and submitted to the Audit Committee for review. The review report shall be presented to request acknowledged at the shareholders' meeting.

Please refer to the attachments in this handbook for the 2025 business report, the 2025 parent company only financial statements, consolidated financial statements, the 2025 earnings distribution table and the audit committee's review report.

Resolution: RESOLVED, that the above proposal be and hereby was acknowledged as proposed. Shares represented at the time of voting: 25,434,686.

Result		%
Votes in favor:	23,266,416	91.47%
Votes against:	622,307	2.44%
Invalid Votes:	0	0.00%
Abstained / Unvoted votes	1,545,963	6.07%

5 - Discussion Matters

Amendment to the Company's "Rules and Procedures of Shareholders Meeting" (Proposed by the Board of Directors)

Explanation: 1. In accordance with the official document of No. 1150002970 issued by the Taiwan Stock Exchange on March 5, 2026, and in response to the amendments to Article 6 of the "Regulations Governing the Contents and

Compliance Requirements of the Shareholders' Meeting Agenda for Public Companies," as well as with reference to the scrutineer system adopted in international practices, it is proposed to amend the Company's "Rules of Procedure for Shareholders Meetings."

Please refer to the attachment in this handbook for the comparison table of the amended provisions.

Resolution: RESOLVED, that the above proposal be and hereby was acknowledged as proposed. Shares represented at the time of voting: 25,434,686.

Result		%
Votes in favor:	23,270,697	90.14%
Votes against:	621,924	4.10%
Invalid Votes:	0	0.00%
Abstained / Unvoted votes	1,542,065	5.75%

6 - Election Matters

To Elect nine Directors (Including three Independent Directors) (Proposed by the Board of Directors)

Explanation: 1. Upon the expiry of the Directors' terms of office, the successor Directors will be elected at this Annual General Shareholders Meeting.

Directors shall be elected by adopting candidates nomination system as specified in Article 16 of Incorporation. The Board of Directors resolved that nine Directors (including three Independent Directors) Shareholders shall elect, the List of Director (including Independent Directors) Candidates, whose education, experience and relevant information, please refer to the attachment and Pages 54 to 55 of the Meeting Handbook.
The Directors to be elected shall assume office immediately after the shareholders' meeting. The terms of office of the Directors to be elected shall be three years, commencing on May 22, 2026, and expiring on May 21, 2029.
The list of director candidates was nominated and approved by the Board of Directors on April 7, 2026.

Election results:

Title	Name	Elected Votes
Director	AP Memory Technology Corporation
Representative: Yu-Hsin Lin	26,063,967
Director	AP Memory Technology Corporation
Representative: Chi-Hsun Hung	23,573,487
Director	Chang-Yong Chen	22,803,602

| Director | Shanyi Investment Co., Ltd
Representative: Robbins Yeh | 22,728,805 |
| --- | --- | --- |
| Director | Mosaix Labs Corporation
Representative: Raymond Wu | 22,552,039 |
| Director | Shui Xin Investments Co., Ltd.
Representative: Ching-Yao Lan | 22,416,315 |
| Independent Director | Yeh Shu | 22,132,823 |
| Independent Director | Hou-Yi Liang | 22,029,582 |
| Independent Director | Yeu-Chung Lin | 21,925,211 |

7 · Other Motions

To Release the Restriction on Directors (Including Independent Directors) from Participation in Competitive Business. (Proposed by the Board of Directors)

Explanation: 1. In accordance with Article 209 of the Company Act, the director must explain the significance of their actions that fall within the scope of the company's business at the shareholders' meeting and obtain approval for the actions whether for themselves or for others.

In view of the operational needs of the Company and those directors might act in their own interests on matters within the Company's business scope, it is proposed to release the non-competition restrictions on directors. The details of releasing the restriction on the director from participation in competitive business are attached herein (Please refer to the attachment in this handbook).

Resolution: RESOLVED, that the above proposal be and hereby was acknowledged as proposed. Shares represented at the time of voting: 25,434,686.

Result		%
Votes in favor:	23,126,108	90.92%
Votes against:	637,473	2.51%
Invalid Votes:	0	0.00%
Abstained / Unvoted votes	1,671,105	6.57%

8 · Exemplary Motion: None.

9 · Adjournment: The meeting was concluded at 9:21 a.m. on the same day, and the Chairman declared the meeting adjourned.

No questions were raised by shareholders during the meeting.

(This English translation is provided for reference only and might not precisely reflect the original language's true meaning and full text.)

Attachment 1
\cdot
2025 Annual Business Report

M3 Technology Inc.

2025 Annual Business Report

Since the beginning of 2025, benefiting from the gradual recovery in end-market demand in 2024, downstream customer order momentum has strengthened, driving industry inventory levels back to a more normalized range.

Starting from the second quarter of 2025, global tariff policies and foreign exchange fluctuations have led to adjustments in market demand dynamics. In response, the Company has continued to optimize its market positioning and product portfolio, enhancing operational flexibility to adapt to structural changes in the industry.

The Company also continues to strengthen its core R&D capabilities, optimize process applications and product architecture design, and improve product performance and cost competitiveness. Through the steady development of next-generation products and expansion into new applications, the Company aims to solidify its market foundation and drive medium-to long-term growth momentum.

I. 2025 Business Results

(I) Business Plan Implementation Outcome

The Company's operating revenue in 2025 was NT$966,665 thousand, with an annual increase of $6.56\%$ from NT$907,178 thousand in 2024. Gross profit in 2025 was NT$465,879 thousand, with an annual increase of $9.09\%$ from NT$427,065 thousand in 2024. Operating profit in 2025 was NT$207,367 thousand, with an annual increase of $48.35\%$ from NT$139,781 thousand in 2024. Profit before income tax in 2025 was NT$200,853 thousand, with an annual increase of $4.72\%$ from NT$191,805 thousand in 2024.

Unit: NT$ Thousand

Item	2025		2024		Increase (Decrease) Status
	Amount	%	Amount	%	Amount	%
Operating revenue	966,665	100.00%	907,178	100.00%	59,487	6.56%
Gross profit	465,879	48.19%	427,065	47.08%	38,814	9.09%
Operating profit	207,367	21.45%	139,781	15.41%	67,586	48.35%
Profit before income tax	200,853	20.78%	191,805	21.14%	9,048	4.72%

(II) 2025 Budget Implementation Status

The forecast was not announced by the Company in 2025 so the budget implementation disclosure is not required. Nevertheless, the overall actual operation status and performance have been generally consistent with the operation plan internally established by the Company.

(III) Financial Revenue/Expenditure and Profitability Analysis

Unit: NT$ Thousand

Item			2025	2024	Increase (Decrease) Status
Financial revenue/ expenditure	Operating revenue		966,665	907,178	6.56%
	Gross profit		465,879	427,065	9.09%
	Profit before income tax		200,853	191,805	4.72%
Profitability	Return on assets (%)		8.62%	7.37%	1.25 ppts
	Return on equity (%)		9.80%	8.27%	1.53 ppts
	Ratio to paid-in capital (%)	Operating profit	47.45%	32.63%	14.82 ppts
		Profit before income tax	45.96%	44.78%	1.18 ppts
	Net profit margin (%)		16.27%	13.40%	2.87 ppts
	Earnings per share (in NT$)		3.70	2.94	25.85%

(IV) Research and Development Status

Research and development expenses in the last two years

Unit: NT$ Thousand

Item	2025	2024
R&D expenses (A)	134,347	166,173
Net operating revenue (B)	966,665	907,178
Ratio (A)/(B)	13.90%	18.32%

R&D outcomes of the Company in 2025 are as follows:

(1) Launched a 36V/6A/500kHz multifunctional I²C digital-controlled synchronous buck converter.
(2) Launched an 18V/12A/700kHz high-efficiency synchronous buck converter.
(3) Launched a 32V/5A/500kHz high-efficiency synchronous buck converter.
(4) Launched a 24V/4A/650kHz high-efficiency synchronous buck converter.

(5) Launched an 18V/6A synchronous buck converter in a compact DFN 2.5×1.5_10L package.
(6) Launched a 5.5V/4A/2.1MHz ultra-compact synchronous buck converter in a DFN 1.5×1.5_6L package.
(7) Launched a 6V/1A/6MHz low-power (11μA quiescent current) ultra-compact synchronous buck converter in a WCSP_5L package.
(8) Launched a highly integrated 5V/3A/1MHz synchronous buck-boost converter.
(9) Launched a 33V/5A highly integrated I²C digital-controlled load switch for USB PD applications.
(10) Launched a 60V/200mA ultra-low quiescent current (1μA) linear low-dropout regulator (LDO).
(11) Launched a 5.5V/2A linear low-dropout regulator with 3.6V fixed output voltage.
(12) Launched a single-capacitor (LIC) charging management IC with 750mA charging current and 4A discharge capability, featuring comprehensive integrated protection functions.
(13) Launched a single-capacitor (LIC) charging management IC with 5A charging current and ultra-low quiescent current (1μA), featuring comprehensive integrated protection functions for high-power industrial and consumer fast-charging applications.

II. Summary of the 2025 Business Plan

(I) Operational Directives

Leveraging the Company’s extensive experience in analog IC design and product development, we will continue to deepen our core technological capabilities and promote platform-based product design. The Company focuses on developing competitive PMIC and power management solutions to address the evolving demands of information technology, communication infrastructure, AI-related applications, and consumer electronics.

In addition, through both established and newly expanded marketing and distribution channels, the Company aims to broaden application coverage, increase market share, and enhance product value.

(II) Sales Volume Forecast and Basis

The Company establishes its annual sales targets based on customer demand forecasts, market trends, existing order visibility, capacity planning, and historical sales performance.

We will continue to drive new product introductions and optimize existing product portfolios, expand application coverage, and enhance revenue diversification and stability. Meanwhile, the Company will dynamically adjust its operational strategies and

production-sales planning in response to market changes.

(III) Important Production and Sale Policies

Deepen existing market presence and strategic partnerships

Strengthen the Company's position in key domestic and international markets, enhance long-term collaboration with core customers, and improve product penetration and overall profitability.

Expand into new markets and applications

Actively develop new customers and explore emerging application areas, while optimizing marketing and distribution channel strategies to broaden the sales base.

Strengthen supply chain collaboration and capacity flexibility

Maintain stable partnerships with wafer foundries, packaging, and testing service providers to ensure reliable capacity and technical support, while evaluating additional partners to enhance supply flexibility and risk diversification.

Enhance inventory and operational management mechanisms

Continuously improve inventory management and demand forecasting capabilities to mitigate the impact of industry cycles and enhance capital efficiency.

Looking ahead to 2025, the Company expects to benefit from the rapid advancement of emerging technologies such as AI, which will drive specification upgrades in data centers and networking equipment, thereby supporting demand growth. In addition, the gradual integration of AI functionalities into end devices is expected to enhance product specifications and contribute to a recovery in demand, providing further momentum for revenue growth. However, intensified market competition continues to exert increasing pricing pressure on the Company. At the same time, geopolitical risks, including the U.S.-China technology tensions and evolving policy uncertainties, present additional challenges to the Company's operations. In response, the Company will adhere to its principles of sustainable management and steady growth. While leveraging its strengths in existing markets, the Company will continue to invest in technological innovation and R&D, and actively explore new application areas—supercapacitor-related solutions being one of them—to maintain its competitive advantage in the industry.

Looking forward, with the rapid development of emerging applications such as Wi-Fi 8, AIoT, and AI PCs, the Company is entering a critical phase of product transformation and

upgrade, and is well positioned to capture new growth momentum in the coming years. This is expected to further strengthen the Company's competitive position in the global PMIC market. Upholding its longstanding commitment to integrity, sustainability, and innovation, the Company will continue to pursue high-quality product development, improve energy efficiency, and create long-term value for its shareholders.

Chairman of the Board: AP Memory Technology Corporation
Representative: Yu-Hsin Lin

CEO: Robbins Yeh

Finance Manager: Chia-Hsin Lin

10 -

Attachment 2 $\cdot$ 2025 the Details and Amount of the Remuneration Received by Individual Director (In Thousands of New Taiwan Dollars

：%）

Title	Name	Remuneration to the Directors	Total amount of A+B+C+D and as a Percentage of Net Income (%)	Remuneration to Directors who are also employees	Total amount of A+B+C+D+E+F+G and as a Percentage of Net Income (%)	Receives remuneration from non-subsidiary investments
Remuneration (A)	Pension and severand pay (B)	Remuneration of directors (C)	Expenses for execution of business (D)	Salary, bonus and special disbursement (E)	Pension and severance pay (F)	Remuneration of employees (G)
The Company	All companies listed in the financial statements	The Company	All companies listed in the financial statements	The Company	All companies listed in the financial statements	The Company	All companies listed in the financial statements
Amount	%	Amount	%	Amount of cash	Amount of stock	Amount of stock	Amount
Chairman	AP Memory Technology Corp.	-	-	-	-	641	641
Wen-Liang Chen	-	-	-	-	-	-	15
Yu-Hsin Lin (Note1)	-	-	-	-	-	-	6
Director	Chang-Yong Chen	-	-	-	-	215	215
Director	David Meng	-	-	-	-	320	320
Director	ITE Tech. Inc.	-	-	-	-	320	320
Hsiu-Che Lin	-	-	-	-	-	-	15
Director	Wei-Tse Hung	-	-	-	-	215	215
Director	Robbins Yeh (Note2)	-	-	-	-	320	320
Independent Director	Zhi-Feng Jiang	816	816	-	-	-	-
Independent Director	Zu-Ming Bi	816	816	-	-	-	-

Independent Director	Hsieh-Ju Peng	816	816	-	-	-	-	21	21	837	0.53	837	0.53	-	-	-	-	-	-	-	837	0.53	837	0.53	-

Independent Director Remuneration Policy and Structure : Independent directors receive fixed compensation regardless of company performance, as approved by the Board and in accordance with the Company's remuneration policy. They are also entitled to a transportation allowance of NT$3,000 per meeting for attending board or shareholders' meetings. Independent directors do not participate in the annual profit-based remuneration and their compensation is not linked to performance.
Additional Compensation Disclosure : In the most recent fiscal year, no directors received remuneration for services (e.g., as consultants) to the Company or its consolidated entities beyond what is disclosed above.
Board Remuneration for FY2025 : The director's remuneration for 2025 was approved by the Board on February 25, 2026, and will be paid in cash.

Notes:

The institutional shareholder, AP Memory Technology Corp, appointed Ms. Yu-Hsin Lin as its representative director, replacing Mr. Wen-Liang Chen, effective October 31, 2025.
Mr. Robbins Yeh was elected as a director on May 22, 2025.
12 -

Attachment 3 \ 2025 Financial Statements

INDEPENDENT AUDITORS' REPORT

The Board of Directors and Shareholders
M3 Technology Inc.

Opinion

We have audited the accompanying parent company only financial statements of M3 Technology Inc. (the "Company"), which comprise the parent company only balance sheets as of December 31, 2025 and 2024, and the parent company only statements of comprehensive income, changes in equity and cash flows for the years then ended, and notes to the parent company only financial statements, including material accounting policy information (collectively referred to as the "parent company only financial statements").

In our opinion, the accompanying parent company only financial statements present fairly, in all material respects, the parent company only financial position of the Company as of December 31, 2025 and 2024, and its parent company only financial performance and its parent company only cash flows for the years then ended in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers.

Basis for Opinion

We conducted our audits in accordance with the Regulations Governing Financial Statement Audit and Attestation Engagements of Certified Public Accountants and the Standards on Auditing of the Republic of China. Our responsibilities under those standards are further described in the Auditors' Responsibilities for the Audit of the Parent Company Only Financial Statements section of our report. We are independent of the Company in accordance with The Norm of Professional Ethics for Certified Public Accountant of the Republic of China, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Key Audit Matter

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the parent company only financial statements for the year

13 -

ended December 31, 2025. These matters were addressed in the context of our audit of the parent company only financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.

Key audit matter of the Company’s financial statements for the year ended December 31, 2025 is stated as follows:

Recognition of revenue from the specific customer

The revenue from specific customer amounted to NT$367,230 thousand in 2025; such amount which accounted for 38% of sales revenue is a significant amount of the Company’s financial statements. Therefore, recognition of revenue from the specific customer was deemed to be a key audit matter.

For the accounting policy on recognition of revenue from the specific customer, refer to Note 4 (I2).

The audit procedures for the abovementioned key audit matter were as follows:

We understood the design and tested the effectiveness of the internal controls with respect to recognition of revenue from specific customer.
We sent out confirmation request to specific customer; we requested confirmation of the total amount of revenue for the year.
We selected samples of sales to specific customer and validated the details against the supporting documents, including sales orders, delivery documents and cash received from customer to verify the occurrence of sales transactions.
We validated selected samples of sales returns and collection of trade receivables after the year-end against the data as of December 31, 2025.

Responsibilities of Management and Those Charged with Governance for the Parent Company Only Financial Statements

Management is responsible for the preparation and fair presentation of the parent company only financial statements in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers, and for such internal control as management determines is necessary to enable the preparation of parent company only financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the parent company only financial statements, management is responsible for assessing the Company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

14 -

Those charged with governance, including the audit committee, are responsible for overseeing the Company's financial reporting process.

Auditors’ Responsibilities for the Audit of the Parent Company Only Financial Statements

Our objectives are to obtain reasonable assurance about whether the parent company only financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditors’ report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the Standards on Auditing of the Republic of China will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these parent company only financial statements.

As part of an audit in accordance with the Standards on Auditing of the Republic of China, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

Identify and assess the risks of material misstatement of the parent company only financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.
Conclude on the appropriateness of management’s use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditors’ report to the related disclosures in the parent company only financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditors’ report. However, future events or conditions may cause the Company to cease to continue as a going concern.
Evaluate the overall presentation, structure and content of the parent company only
15 -

financial statements, including the disclosures, and whether the parent company only financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

Obtain sufficient and appropriate audit evidence regarding the financial information of entities or business activities within the Company to express an opinion on the parent company only financial statements. We are responsible for the direction, supervision and performance of the audit. We remain solely responsible for our audit opinion.
16 -

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the parent company only financial statements for the year ended December 31, 2025, and are therefore the key audit matters. We describe these matters in our auditors’ report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

The engagement partners on the audits resulting in this independent auditors’ report are Chih-Feng Yu and Pi-Yu Chuang.

Deloitte & Touche
Taipei, Taiwan
Republic of China

February 25, 2026

Notice to Readers

The accompanying parent company only financial statements are intended only to present the financial position, financial performance and cash flows in accordance with accounting principles and practices generally accepted in the Republic of China and not those of any other jurisdictions. The standards, procedures and practices to audit such parent company only financial statements are those generally applied in the Republic of China.

For the convenience of readers, the independent auditors’ report and the accompanying parent company only financial statements have been translated into English from the original Chinese version prepared and used in the Republic of China. If there is any conflict between the English version and the original Chinese version or any difference in the interpretation of the two versions, the Chinese-language independent auditors’ report and parent company only financial statements shall prevail.

17 -

M3 TECHNOLOGY INC.

BALANCE SHEETS

DECEMBER 31, 2025 AND 2024

(In Thousands of New Taiwan Dollars)

	2025		2024
ASSETS	Amount	%	Amount	%
CURRENT ASSETS
Cash and cash equivalents (Notes 4 and 6)	$ 293,847	16	$ 306,001	18
Financial assets at amortized cost - current (Notes 4, 7 and 27)	1,102,285	59	848,037	49
Notes receivable (Notes 4, 8 and 18)	6,916	-	6,391	-
Trade receivables (Notes 4, 8, 18 and 26)	171,371	9	158,082	9
Other receivables (Notes 4 and 26)	1,102	-	20,777	1
Inventories (Notes 4, 5 and 9)	111,483	6	139,749	8
Prepayments	1,510	-	1,686	-
Other current assets (Note 20)	-	-	64,522	4
Total current assets	1,688,514	90	1,545,245	89
NON-CURRENT ASSETS
Investments accounted for using the equity method (Notes 4 and 10)	1,836	-	11,730	1
Property, plant and equipment (Notes 4 and 11)	161,417	8	159,323	9
Right-of-use assets (Notes 4 and 12)	4,709	-	1,934	-
Intangible assets (Notes 4 and 13)	10,786	1	9,127	-
Deferred tax assets (Notes 4 and 20)	16,386	1	12,763	1
Prepayments for equipment	36	-	1,764	-
Refundable deposits	287	-	952	-
Total non-current assets	195,457	10	197,593	11
TOTAL	$1,883,971	100	$1,742,838	100
LIABILITIES AND EQUITY
CURRENT LIABILITIES
Short-term borrowings (Notes 4 and 14)	$ 30,000	2	$ -	-
Contract liabilities - current (Notes 4 and 18)	149	-	7	-
Notes payable	17	-	3	-
Accounts payable	56,579	3	46,562	3
Other payables (Notes 15 and 26)	95,982	5	97,634	6
Current tax liabilities (Notes 4 and 20)	27,418	1	10,796	1
Provisions - current (Note 4)	9,354	1	9,649	-
Lease liabilities - current (Notes 4 and 12)	2,675	-	2,009	-
Other current liabilities	1,187	-	1,060	-
Total current liabilities	223,361	12	167,720	10
NON-CURRENT LIABILITIES
Deferred tax liabilities (Notes 4 and 20)	-	-	4,747	-
Lease liabilities - non-current (Notes 4 and 12)	2,049	-	-	-
Credit balance on the carrying value of investments accounted for using the equity method (Notes 4 and 10)	4,783	-	14,867	1
Total non-current liabilities	6,832	-	19,614	1
Total liabilities	230,193	12	187,334	11
EQUITY (Notes 4, 17 and 22)
Share capital
Ordinary share	437,056	23	428,321	25
Share capital awaiting retirement	(40)	-	-	-
Total share capital	437,016	23	428,321	25
Capital surplus	590,054	31	591,465	34
Retained earnings
Legal reserve	96,510	5	84,354	5
Unappropriated earnings	564,943	30	504,805	29
Total retained earnings	661,453	35	589,159	34
Other equity
Exchange differences on translation of foreign financial statements	149	-	877	-
Unearned compensation	(6,469)	-	(25,893)	(2)
Total other equity	(6,320)	-	(25,016)	(2)
Treasury shares	(28,425)	(1)	(28,425)	(2)
Total equity	1,653,778	88	1,555,504	89
TOTAL	$1,883,971	100	$1,742,838	100

The accompanying notes are an integral part of the financial statements.

M3 TECHNOLOGY INC.

STATEMENTS OF COMPREHENSIVE INCOME
FOR THE YEARS ENDED DECEMBER 31, 2025 AND 2024
(In Thousands of New Taiwan Dollars, Except Earnings Per Share)

	2025		2024
	Amount	%	Amount	%
OPERATING REVENUE (Notes 4, 18 and 26)
Sales revenue	$ 972,228	101	$ 910,129	100
Sales returns	( 1,351)	-	( 1,299)	-
Sales discounts	( 7,249)	( 1)	( 1,652)	-
Total operating revenue, net	963,628	100	907,178	100
OPERATING COSTS (Notes 4, 5, 9 and 19)	497,385	52	476,292	52
GROSS PROFIT	466,243	48	430,886	48
OPERATING EXPENSES (Notes 4, 19 and 26)
Selling and marketing expenses	38,380	4	37,064	4
General and administrative expenses	64,433	7	61,217	7
Research and development expenses	144,224	15	163,069	18
Total operating expenses	247,037	26	261,350	29
PROFIT FROM OPERATIONS	219,206	22	169,536	19
NON-OPERATING INCOME AND EXPENSES
Interest income (Notes 4 and 26)	28,497	3	25,738	3
Other income	74	-	138	-
Other gains and losses	295	-	1,339	-
Financial costs	( 148)	-	( 1,942)	-
Share of loss of subsidiaries (Notes 4 and 10)	( 10,557)	( 1)	( 49,850)	( 6)
Foreign exchange gains, net (Notes 4 and 19)	-	-	27,360	3
Foreign exchange loss, net (Notes 4 and 19)	( 38,295)	( 4)	-	-
Total non-operating income and expenses	( 20,134)	( 2)	2,783	-
PROFIT BEFORE INCOME TAX	199,072	20	172,319	19
INCOME TAX EXPENSE (Notes 4 and 20)	( 41,830)	( 4)	( 50,761)	( 6)
NET PROFIT FOR THE YEAR	157,242	16	121,558	13
OTHER COMPREHENSIVE (LOSS) INCOME
Items that may be reclassified subsequently to profit or loss:
Exchange differences on translation of the financial statements of foreign operations	( 728)	-	413	-

(Continued)

M3 TECHNOLOGY INC.

STATEMENTS OF COMPREHENSIVE INCOME

FOR THE YEARS ENDED DECEMBER 31, 2025 AND 2024

(In Thousands of New Taiwan Dollars, Except Earnings Per Share)

	2025		2024
	Amount	%	Amount	%
Other comprehensive (loss) income for the year	($ 728)	-	$ 413	-
TOTAL COMPREHENSIVE INCOME FOR THE YEAR	$ 156,514	16	$ 121,971	13
EARNINGS PER SHARE (Note 21)
Basic	$ 3.70		$ 2.94
Diluted	$ 3.63		$ 2.84

The accompanying notes are an integral part of the financial statements. (Concluded)

20 -

M3 TECHNOLOGY INC.

STATEMENTS OF CHANGES IN EQUITY

FOR THE YEARS ENDED DECEMBER 31, 2025 AND 2024

(In Thousands of New Taiwan Dollars)

	Ordinary Shares (Notes 4,17 and 22)				Capital Surplus (Notes 6,17 and 22)	Retained Earnings (Note 17)			Other Equity (Notes 4,17 and 22)				Treasury Shares (Notes 4,17 and 22)
	Number of Shares (In Thousands)	Amount	Share capital awaiting retirement	Total		Legal Reserve	Unappropriated Earnings	Total	Exchange Differences on Translation of the Financial Statements of Foreign Operations	Unearned Compensation	Total
BALANCE AT JANUARY 1, 2024	42,542	$ 425,421	($ 540)	$ 424,881	$ 565,381	$ 62,506	$ 530,661	$ 593,167	$ 464	($ 65,945)	($ 65,481)	($ 134,835)	$ 1,383,113
Appropriation of the 2023 earnings
Legal reserve	-	-	-	-	-	21,848	( 21,848)	-	-	-	-	-	-
Cash dividends distributed by the Company	-	-	-	-	-	-	( 125,697)	( 125,697)	-	-	-	-	( 125,697)
Employee compensation cost for employee share options	-	-	-	-	37	-	-	-	-	-	-	-	37
Cash dividend redemption for share-based payment	-	-	-	-	-	-	131	131	-	-	-	-	131
Employee compensation cost for restricted employee shares	-	-	-	-	-	-	-	-	-	38,186	38,186	-	38,186
Net profit for the year ended December 31, 2024	-	-	-	-	-	-	121,558	121,558	-	-	-	-	121,558
Other comprehensive income for the year ended December 31, 2024	-	-	-	-	-	-	-	-	413	-	413	-	413
Total comprehensive income for the year ended December 31, 2024	-	-	-	-	-	-	121,558	121,558	413	-	413	-	121,971
Gain on disgorgement	-	-	-	-	380	-	-	-	-	-	-	-	380
Issuance of ordinary shares under employee share options	362	3,620	-	3,620	2,081	-	-	-	-	-	-	-	5,701
Issuance of employee restricted shares	32	320	-	320	3,664	-	-	-	-	( 3,984)	( 3,984)	-	-
Cancellation of employee restricted shares	( 104 )	( 1,040)	540	( 500)	( 5,350)	-	-	-	-	5,850	5,850	-	-
Treasury shares transferred to employees for share-based payment	-	-	-	-	25,272	-	-	-	-	-	-	106,410	131,682
BALANCE AT DECEMBER 31, 2024	42,832	428,321	-	428,321	591,465	84,354	504,805	589,159	877	( 25,893)	( 25,016)	( 28,425)	1,555,504
Appropriation of the 2023 earnings
Legal reserve	-	-	-	-	-	12,156	( 12,156)	-	-	-	-	-	-
Cash dividends distributed by the Company	-	-	-	-	-	-	( 85,126)	( 85,126)	-	-	-	-	( 85,126)
Employee compensation cost for restricted employee shares	-	-	-	-	-	-	-	-	-	14,096	14,096	-	14,096
Cash dividend redemption for share-based payment	-	-	-	-	-	-	178	178	-	-	-	-	178
Net profit for the year ended December 31, 2025	-	-	-	-	-	-	157,242	157,242	-	-	-	-	157,242
Other comprehensive income for the year ended December 31, 2025	-	-	-	-	-	-	-	-	( 728)	-	( 728)	-	( 728)
Total comprehensive income for the year ended December 31, 2025	-	-	-	-	-	-	157,242	157,242	( 728)	-	( 728)	-	156,514
Issuance of ordinary shares under employee share options	915	9,150	-	9,150	3,462	-	-	-	-	-	-	-	12,612
Cancellation of employee restricted shares	( 41 )	( 415 )	( 40 )	( 455 )	( 4,873)	-	-	-	-	5,328	5,328	-	-
BALANCE AT DECEMBER 31, 2025	43,706	$ 437,056	($ 40 )	$ 437,016	$ 590,054	$ 96,510	$ 564,943	$ 661,453	$ 149	($ 6,469)	($ 6,320)	($ 28,425)	$ 1,653,778

The accompanying notes are an integral part of the financial statements.

M3 TECHNOLOGY INC.

STATEMENTS OF CASH FLOWS

FOR THE YEARS ENDED DECEMBER 31, 2025 AND 2024

(In Thousands of New Taiwan Dollars)

	2025	2024
CASH FLOWS FROM OPERATING ACTIVITIES
Income before income tax	$ 199,072	$ 172,319
Adjustments for
Depreciation expense	39,500	32,584
Amortization expense	6,789	10,638
Financial costs	148	1,942
Interest income	( 28,497 )	( 25,738 )
Compensation cost of treasury shares	-	6,849
Compensation cost of employee share options	-	21
Compensation cost of employee restricted shares	12,438	25,448
Loss on disposal of property, plant and equipment	-	8
Share of loss of subsidiaries	10,557	49,850
(Reversal) write-down of inventories	( 4,061 )	11,939
Unrealized loss (gain) on foreign currency exchange	27,192	( 19,957 )
Reversal of provisions	( 295 )	( 1,347 )
Changes in operating assets and liabilities
Notes receivable	( 525 )	( 5,396 )
Trade receivables	( 13,653 )	12,728
Other receivables	19,552	( 19,522 )
Inventories	32,327	29,300
Prepayments	176	1,133
Other current assets	-	( 64,522 )
Contract liabilities	142	( 645 )
Notes payable	14	( 2 )
Accounts payable	10,252	( 11,399 )
Other payables	3,922	( 20,610 )
Other current liabilities	127	306
Net cash generated from operations	315,177	185,927
Interest received	28,301	25,415
Interest paid	( 143 )	( 1,942 )

26 -

Income tax returned (paid)	30,944	( 56,136)
Net cash generated from operating activities	374,279	153,264
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of financial assets at amortized cost	(2,068,065)	(1,787,538)
Proceeds from sale of financial assets at amortized cost	1,787,130	1,781,680
Net cash outflow on acquisition of subsidiary	( 9,817)	-
Payments for property, plant and equipment	( 46,462)	( 31,492)
Increase in refundable deposits	-	( 672)
Decrease in refundable deposits	665	-
Payments for intangible assets	( 4,845)	( 4,518)
Increase in prepayments for equipment	( 36)	( 1,764)
Net cash used in investing activities	( 341,430)	( 44,304)

(Continued)

M3 TECHNOLOGY INC.

STATEMENTS OF CASH FLOWS

FOR THE YEARS ENDED DECEMBER 31, 2025 AND 2024

(In Thousands of New Taiwan Dollars)

	2025	2024
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from short-term borrowings	$ 30,000	$ -
Repayment of the principal portion of lease liabilities	( 2,667)	( 2,623)
Cash dividend paid	( 85,126)	( 125,697)
Exercise of employee share options	12,612	5,701
Treasury shares sold to employees	-	106,100
Cash dividend redemption for share-based payment	178	131
Imposition of disgorgement	-	380
Net cash used in financing activities	( 45,003)	( 16,008)
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS	( 12,154)	92,952
CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE YEAR	306,001	213,049
CASH AND CASH EQUIVALENTS AT THE END OF THE YEAR	$ 293,847	$ 306,001
The accompanying notes are an integral part of the financial statements.		(Concluded)

28 -

29 -

REPRESENTATION LETTER

The entities that are required to be included in the combined financial statements of M3 Technology Inc. as of and for the year ended December 31, 2025, under the Criteria Governing the Preparation of Affiliation Reports, Consolidated Business Reports and Consolidated Financial Statements of Affiliated Enterprises are the same as those included in the consolidated financial statements prepared in conformity with the International Financial Reporting Standard 10, "Consolidated Financial Statements". In addition, the information required to be disclosed in the combined financial statements is included in the consolidated financial statements. Consequently, M3 Technology Inc. and subsidiaries do not prepare a separate set of combined financial statements.

Very truly yours,

M3 TECHNOLOGY INC.

AP Memory Technology Corporation
Representative: Yu-Hsin Lin
Chairman

February 25, 2026

30 -

INDEPENDENT AUDITORS' REPORT

The Board of Directors and Shareholders
M3 Technology Inc.

Opinion

We have audited the accompanying consolidated financial statements of M3 Technology Inc. (the "Company") and its subsidiaries (collectively referred to as the "Group"), which comprise the consolidated balance sheets as of December 31, 2025 and 2024, and the consolidated statements of comprehensive income, changes in equity and cash flows for the years then ended, and notes to the consolidated financial statements, including material accounting policy information (collectively referred to as the "consolidated financial statements").

In our opinion, the accompanying consolidated financial statements present fairly, in all material respects, the consolidated financial position of the Group as of December 31, 2025 and 2024, and its consolidated financial performance and its consolidated cash flows for the years then ended in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and International Financial Reporting Standards (IFRS), International Accounting Standards (IAS), IFRIC Interpretations (IFRIC), and SIC Interpretations (SIC) endorsed and issued into effect by the Financial Supervisory Commission of the Republic of China.

Basis for Opinion

We conducted our audits in accordance with the Regulations Governing Financial Statement Audit and Attestation Engagements of Certified Public Accountants and the Standards on Auditing of the Republic of China. Our responsibilities under those standards are further described in the Auditors' Responsibilities for the Audit of the Consolidated Financial Statements section of our report. We are independent of the Group in accordance with The Norm of Professional Ethics for Certified Public Accountant of the Republic of China, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Key Audit Matter

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the consolidated financial statements for the year ended

December 31, 2025. These matters were addressed in the context of our audit of the consolidated financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.

Key audit matter of the Group's consolidated financial statements for the year ended December 31, 2025 is stated as follows:

Recognition of revenue from the specific customer

The revenue from specific customer amounted to NT$367,230 thousand in 2025; such amount which accounted for 38% of sales revenue is a significant amount of the Group's consolidated financial statements. Therefore, recognition of revenue from the specific customer was deemed to be a key audit matter.

For the accounting policy on recognition of revenue from the specific customer, refer to Note 4 (I2).

The audit procedures for the abovementioned key audit matter were as follows:

We understood the design and tested the effectiveness of the internal controls with respect to recognition of revenue from specific customer.
We sent out confirmation request to specific customer; we requested confirmation of the total amount of revenue for the year.
We selected samples of sales to specific customer and validated the details against the supporting documents, including sales orders, delivery documents and cash received from customer to verify the occurrence of sales transactions.
We validated selected samples of sales returns and collection of trade receivables after the year-end against the data as of December 31, 2025.

Other Matter

We have also audited the parent company only financial statements of the Company as of and for the years ended December 31, 2025 and 2024, on which we have issued an unmodified opinion.

Responsibilities of Management and Those Charged with Governance for the Consolidated Financial Statements

Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and International Financial Reporting Standards (IFRS), International Accounting Standards (IAS), IFRIC Interpretations (IFRIC), and SIC Interpretations (SIC) endorsed and issued into effect by the Financial Supervisory Commission of the Republic of China, and for such internal control as management

31 -

determines is necessary to enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the consolidated financial statements, management is responsible for assessing the Group's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Group or to cease operations, or has no realistic alternative but to do so.

Those charged with governance, including the audit committee, are responsible for overseeing the Group's financial reporting process.

Auditors' Responsibilities for the Audit of the Consolidated Financial Statements

Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditors' report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the Standards on Auditing of the Republic of China will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial statements.

As part of an audit in accordance with the Standards on Auditing of the Republic of China, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

Identify and assess the risks of material misstatement of the consolidated financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Group's internal control.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.
Conclude on the appropriateness of management's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Group's ability to continue as a going concern. If we conclude that a material
32 -

uncertainty exists, we are required to draw attention in our auditors’ report to the related disclosures in the consolidated financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditors’ report. However, future events or conditions may cause the Group to cease to continue as a going concern.

Evaluate the overall presentation, structure and content of the consolidated financial statements, including the disclosures, and whether the consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
Obtain sufficient and appropriate audit evidence regarding the financial information of entities or business activities within the Group to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision and performance of the group audit. We remain solely responsible for our audit opinion.

33 -

From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the consolidated financial statements for the year ended December 31, 2025, and are therefore the key audit matters. We describe these matters in our auditors' report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

The engagement partners on the audits resulting in this independent auditors' report are Chih-Feng Yu and Pi-Yu Chuang.

Deloitte & Touche
Taipei, Taiwan
Republic of China

February 25, 2026

Notice to Readers

The accompanying consolidated financial statements are intended only to present the consolidated financial position, financial performance and cash flows in accordance with accounting principles and practices generally accepted in the Republic of China and not those of any other jurisdictions. The standards, procedures and practices to audit such consolidated financial statements are those generally applied in the Republic of China.

For the convenience of readers, the independent auditors' report and the accompanying consolidated financial statements have been translated into English from the original Chinese version prepared and used in the Republic of China. If there is any conflict between the English version and the original Chinese version or any difference in the interpretation of the two versions, the Chinese-language independent auditors' report and consolidated financial statements shall prevail.

34 -

M3 TECHNOLOGY INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

DECEMBER 31, 2025 AND 2024

(In Thousands of New Taiwan Dollars)

	2025		2024
ASSETS	Amount	%	Amount	%
CURRENT ASSETS
Cash and cash equivalents (Notes 4 and 6)	$ 316,795	17	$ 340,932	20
Financial assets at amortized cost - current (Notes 4, 7 and 27)	1,102,285	58	848,037	48
Notes receivable (Notes 4, 8 and 18)	6,916	-	6,391	-
Trade receivables (Notes 4, 8, 18 and 26)	158,837	8	158,082	9
Other receivables (Note 4)	1,199	-	1,835	-
Inventories (Notes 4, 5 and 9)	111,483	6	139,749	8
Prepayments	2,477	-	5,178	-
Other current assets (Note 20)	1	-	64,522	4
Total current assets	1,699,993	89	1,564,726	89
NON-CURRENT ASSETS
Property, plant and equipment (Notes 4 and 11)	163,086	9	161,743	9
Right-of-use assets (Notes 4 and 12)	7,604	-	2,086	-
Intangible assets (Notes 4 and 13)	10,800	1	9,157	1
Deferred tax assets (Notes 4 and 20)	16,386	1	12,763	1
Prepayments for equipment	36	-	1,764	-
Refundable deposits	832	-	1,177	-
Other non-current assets	1,949	-	-	-
Total non-current assets	200,693	11	188,690	11
TOTAL	$ 1,900,686	100	$ 1,753,416	100
LIABILITIES AND EQUITY
CURRENT LIABILITIES
Short-term borrowings (Notes 4 and 14)	$ 30,000	2	$ -	-
Contract liabilities - current (Notes 4 and 18)	149	-	7	-
Notes payable	17	-	3	-
Trade payables	56,579	3	46,562	3
Other payables (Note 15)	114,264	6	114,015	6
Current tax liabilities (Notes 4 and 20)	27,418	1	10,796	1
Provisions - current (Note 4)	9,354	1	9,649	-
Lease liabilities - current (Notes 4 and 12)	4,286	-	2,117	-
Other current liabilities	1,448	-	9,989	1
Total current liabilities	243,515	13	193,138	11
NON-CURRENT LIABILITIES
Deferred tax liabilities (Notes 4 and 20)	-	-	4,747	-
Lease liabilities - non-current (Notes 4 and 12)	3,393	-	27	-
Total non-current liabilities	3,393	-	4,774	-
Total liabilities	246,908	13	197,912	11
EQUITY (Notes 4, 17 and 22)
Share capital
Ordinary share	437,056	23	428,321	24
Share capital awaiting retirement	( 40)	-	-	-
Total share capital	437,016	23	428,321	24
Capital surplus	590,054	31	591,465	34
Retained earnings
Legal reserve	96,510	5	84,354	5
Unappropriated earnings	564,943	30	504,805	29
Total retained earnings	661,453	35	589,159	34
Other equity
Exchange differences on translation of the financial statements of foreign operations	149	-	877	-
Unearned compensation	( 6,469)	-	( 25,893)	( 1)
Total other equity	( 6,320)	-	( 25,016)	( 1)
Treasury shares	( 28,425)	( 2)	( 28,425)	( 2)
Total equity	1,653,778	87	1,555,504	89
TOTAL	$ 1,900,686	100	$ 1,753,416	100

The accompanying notes are an integral part of the consolidated financial statements.

M3 TECHNOLOGY INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

FOR THE YEARS ENDED DECEMBER 31, 2025 AND 2024

(In Thousands of New Taiwan Dollars, Except Earnings Per Share)

	2025		2024
	Amount	%	Amount	%
OPERATING REVENUE (Notes 4, 18 and 26)
Sales revenue	$ 975,265	101	$ 910,129	100
Sales returns	( 1,351)	-	( 1,299)	-
Sales discounts	( 7,249)	( 1)	( 1,652)	-
Total operating revenue, net	966,665	100	907,178	100
OPERATING COSTS (Notes 4, 5, 9 and 19)	500,786	52	480,113	53
GROSS PROFIT	465,879	48	427,065	47
OPERATING EXPENSES (Notes 4 and 19)
Selling and marketing expenses	53,276	5	50,067	6
General and administrative expenses	70,889	7	71,044	8
Research and development expenses	134,347	14	166,173	18
Total operating expenses	258,512	26	287,284	32
PROFIT FROM OPERATIONS	207,367	22	139,781	15
NON-OPERATING INCOME AND EXPENSES
Interest income	27,525	3	25,667	3
Other income	599	-	150	-
Other gains and losses	288	-	1,297	-
Financial costs	( 246)	-	( 2,118)	-
Foreign exchange gains, net (Notes 4 and 19)	-	-	27,028	3
Foreign exchange losses, net (Notes 4 and 19)	( 34,680)	( 4)	-	-
Total non-operating income and expenses	( 6,514)	( 1)	52,024	6
PROFIT BEFORE INCOME TAX	200,853	21	191,805	21
INCOME TAX EXPENSE (Notes 4 and 20)	( 43,611)	( 5)	( 70,247)	( 8)
NET PROFIT FOR THE YEAR	157,242	16	121,558	13
OTHER COMPREHENSIVE (LOSS) INCOME
Items that may be reclassified subsequently to profit or loss:
Exchange differences on translation of the financial statements of foreign operations	( 728)	-	413	-

(Continued)

M3 TECHNOLOGY INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

FOR THE YEARS ENDED DECEMBER 31, 2025 AND 2024

(In Thousands of New Taiwan Dollars, Except Earnings Per Share)

	2025		2024
	Amount	%	Amount	%
Other comprehensive income (loss) for the year	($ 728)	-	$ 413	-
TOTAL COMPREHENSIVE INCOME FOR THE YEAR	$ 156,514	16	$ 121,971	13
EARNINGS PER SHARE (Note 21)
Basic	$ 3.70		$ 2.94
Diluted	$ 3.63		$ 2.84

The accompanying notes are an integral part of the consolidated financial statements. (Concluded)

37 -

M3 TECHNOLOGY INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

FOR THE YEARS ENDED DECEMBER 31, 2025 AND 2026

(In Thousands of New Taiwan Dollars)

	Ordinary Shares (Notes 4,17 and 22)				Capital Surplus (Notes 4,17 and 22)	Retained Earnings (Note 17)			Other Equity (Notes 4,17 and 22)				Treasury Shares (Notes 4,17 and 22)
	Number of Shares (In Thousands)	Amount	Share capital awaiting retirement	Total		Legal Reserve	Unappropriated Earnings	Total	Exchange Differences on Translation of the Financial Statements of Foreign Operations	Unearned Compensation	Total
BALANCE AT JANUARY 1, 2024	42,542	$ 425,421	($ 540)	$ 424,881	$ 565,381	$ 62,506	$ 530,661	$ 593,167	$ 464	($ 65,945)	($ 65,481)	($ 134,835)	$ 1,383,113
Appropriation of the 2023 earnings
Legal reserve	-	-	-	-	-	21,848	( 21,848)	-	-	-	-	-	-
Cash dividends distributed by the Company	-	-	-	-	-	-	( 125,697)	( 125,697)	-	-	-	-	( 125,697)
Employee compensation cost for employee share options	-	-	-	-	37	-	-	-	-	-	-	-	37
Cash dividend redemption for share-based payment	-	-	-	-	-	-	131	131	-	-	-	-	131
Employee compensation cost for restricted employee shares	-	-	-	-	-	-	-	-	-	38,186	38,186	-	38,186
Net profit for the year ended December 31, 2024	-	-	-	-	-	-	121,558	121,558	-	-	-	-	121,558
Other comprehensive income for the year ended December 31, 2024	-	-	-	-	-	-	-	-	413	-	413	-	413
Total comprehensive income for the year ended December 31, 2024	-	-	-	-	-	-	121,558	121,558	413	-	413	-	121,971
Gain on disgorgement	-	-	-	-	380	-	-	-	-	-	-	-	380
Issuance of ordinary shares under employee share options	362	3,620	-	3,620	2,081	-	-	-	-	-	-	-	5,701
Issuance of employee restricted shares	32	320	-	320	3,664	-	-	-	-	( 3,984)	( 3,984)	-	-
Cancellation of employee restricted shares	( 104 )	( 1,040 )	540	( 500)	( 5,350)	-	-	-	-	5,850	5,850	-	-
Treasury shares transferred to employees for share-based payment	-	-	-	-	25,272	-	-	-	-	-	-	106,410	131,682
BALANCE AT DECEMBER 31, 2024	42,832	428,321	-	428,321	591,465	84,354	504,805	589,159	877	( 25,893)	( 25,016)	( 28,425)	1,555,504
Appropriation of the 2024 earnings
Legal reserve	-	-	-	-	-	12,156	( 12,156)	-	-	-	-	-	-
Cash dividends distributed by the Company	-	-	-	-	-	-	( 85,126)	( 85,126)	-	-	-	-	( 85,126)
Employee compensation cost for restricted employee shares	-	-	-	-	-	-	-	-	-	14,096	14,096	-	14,096
Cash dividend redemption for share-based payment	-	-	-	-	-	-	178	178	-	-	-	-	178
Net profit for the year ended December 31, 2025	-	-	-	-	-	-	157,242	157,242	-	-	-	-	157,242
Other comprehensive income for the year ended December 31, 2025	-	-	-	-	-	-	-	-	( 728)	-	( 728)	-	( 728)
Total comprehensive income for the year ended December 31, 2025	-	-	-	-	-	-	157,242	157,242	( 728)	-	( 728)	-	156,514
Issuance of ordinary shares under employee share options	915	9,150	-	9,150	3,462	-	-	-	-	-	-	-	12,612
Cancellation of employee restricted shares	( 41 )	( 415 )	( 40 )	( 455)	( 4,873)	-	-	-	-	5,328	5,328	-	-
BALANCE AT DECEMBER 31, 2025	43,706	$ 437,056	($ 40 )	$ 437,016	$ 590,054	$ 96,510	$ 564,943	$ 661,453	$ 149	($ 6,469)	($ 6,320)	($ 28,425)	$ 1,653,778

The accompanying notes are an integral part of the consolidated financial statements.

M3 TECHNOLOGY INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

FOR THE YEARS ENDED DECEMBER 31, 2025 AND 2024

(In Thousands of New Taiwan Dollars)

	2025	2024
CASH FLOWS FROM OPERATING ACTIVITIES
Income before income tax	$ 200,853	$ 191,805
Adjustments for
Depreciation expense	42,568	35,354
Amortization expense	6,804	10,653
Financial costs	246	2,118
Interest income	( 27,525)	( 25,667)
Compensation cost of treasury shares	-	25,582
Compensation cost of employee share options	-	37
Compensation cost of employee restricted shares	14,096	38,186
Loss on disposal of property, plan and equipment	-	8
Gain on lease modifications	( 2)	( 38)
Loss on disposal of other assets	9	-
(Reversal) write-down of inventories	( 4,061)	11,939
Unrealized loss (gain) on foreign currency exchange	27,013	( 19,750)
Reversal of provisions	( 295)	( 1,347)
Changes in operating assets and liabilities
Notes receivable	( 525)	( 5,396)
Trade receivables	( 1,259)	12,728
Other receivables	517	( 929)
Inventories	32,327	29,300
Prepayments	2,701	( 1,218)
Other current assets	( 1)	( 64,522)
Contract liabilities	142	( 645)
Notes payable	14	( 2)
Accounts payable	10,252	( 11,399)
Other payables	5,823	( 6,771)
Other current liabilities	( 8,541)	8,864
Net cash generated from operations	301,156	228,890
Interest received	27,329	25,344

39 -

40 -

Interest paid
( 241 ) ( 2,118 )
Income tax returned (paid)
29,163 ( 75,622 )

Net cash generated from operating activities
357,407 176,494

CASH FLOWS FROM INVESTING ACTIVITIES

Purchase of financial assets at amortized cost
(2,068,065) (1,787,538)
Proceeds from sale of financial assets at amortized cost
1,787,130 1,781,680
Payments for property, plant and equipment
( 47,032 ) ( 32,642 )
Increase in refundable deposits
- ( 650 )
Decrease in refundable deposits
668 -
Payments for intangible assets
( 4,845 ) ( 4,518 )
Increase in other non-current assets
( 1,876 )
Increase in prepayments for equipment
( 36 ) ( 1,764 )

(Continued)

M3 TECHNOLOGY INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

FOR THE YEARS ENDED DECEMBER 31, 2025 AND 2024

(In Thousands of New Taiwan Dollars)

	2025	2024
Net cash used in investing activities	($334,056)	($ 45,432)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from short-term borrowings	30,000	-
Repayment of the principal portion of lease liabilities	( 4,358)	( 3,434)
Cash dividend paid	( 85,126)	( 125,697)
Exercise of employee share options	12,612	5,701
Treasury shares sold to employees	-	106,100
Cash dividend redemption for share-based payment	178	131
Imposition of disgorgement	-	380
Net cash used in financing activities	( 46,694)	( 16,819)
EFFECTS OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	( 794)	297
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS	( 24,137)	114,540
CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE YEAR	340,932	226,392
CASH AND CASH EQUIVALENTS AT THE END OF THE YEAR	$316,795	$340,932

The accompanying notes are an integral part of the consolidated financial statements. (Concluded)

41 -

Attachment 4 · Audit Committee Review Report

M3 Technology Inc.

Audit Committee Review Report

The Board of Directors has prepared the 2025 financial statements (including parent company only and consolidated financial statements), and the business report, and earning distribution proposal have been prepared and submitted by the Board of Directors. The financial statements (including parent company only and consolidated financial statements) have been audited by CPA Chih-Feng Yu and CPA Pi-Yu Chuang of Deloitte Taiwan, and an audit report has been issued. The aforementioned reports and statements prepared by the Board of Directors have been reviewed completely and determined to be correct and accurate by the Audit Committee. In accordance with the provisions of Article 14-4 of the Securities and Exchange Act and Article 219 of the Company Act, we hereby submit this report for review.

To:

M3 Technology Inc.

2026 Annual Shareholders Meeting

Audit Committee Convener: Zhi-Feng Jiang

February 25, 2026

沈克樟

42 -

Attachment 5
\cdot
2025 Earnings Distribution Table

M3 Technology Inc.

Earnings Distribution Table

2025

Unit: NTD

Items	Amount	Notes
Undistributable retained earnings in the previous year	407,522,835
Additions:
Net income after tax for 2025	157,241,504
Recovered from share-based compensation	178,414
Deductions:
Provision of legal reserve	(15,724,150)
Distributable earnings for 2025	549,218,603
Scope of allocation :
Cash dividends for common shares of 2025Q1	-
Cash dividends for common shares of 2025Q2	-
Cash dividends for common shares of 2025Q3	-
Cash dividends for common shares of 2025Q4	(108,507,483)	NT$2.5 per share
Undistributed retained earnings at the end of the period	440,711,120

Chairman of the Board: AP Memory Technology Corporation

Representative: Yu-Hsin Lin

CEO: Robbins Yeh

Finance Manager: Chia-Hsin Lin

Attachment 6 - Amendment to the Company's " Rules and Procedures of Shareholders "